Second round of updates and expansions underway Greek airports. Reason 22 regional airports which have not been privatized, the new airport in Castelli of Crete but the next step Athens International Airport. Starting from Kalamata Airport, the expression of interest in which expires two weeks after the extension of the relevant tender at the request of potential investors, super fund the use of the remaining 22 regional airports is progressing rapidly.

In particular, in early December, he will publish an international competition for the selection of a financial and technical consultant who will help him in the tender for their long-term concession. it’s about airports Karpathos, Chios, Alexandroupolis, Araxos, Limnos, Ioannina, Milos, Naxos, Paros, Ikaria, Kythira, Leros, Sitia, Nea Anchialos, Kalymnos, Skyros, Syros, Astypalea, Kastellorizo, Kastoria, Kasos and Kozani. Most of them require significant investments both in terminals and runways and in their electronic and mechanical equipment. Their upgrades will improve tourism in specific areas, helping to spread the economic benefits of tourism throughout Greece, as well as offloading other saturated destinations. At the same time, it will improve the daily lives of residents and local communities.

However, the economic purpose of most of these airports is considered to be insignificant, and therefore it is difficult to attract investors willing to boldly invest in them. Except for the airports in Kalamata (the first and only one up for auction), Paros, Naxos, and Alexandroupoli, there are reservations about the rest as to whether they can support major investment programs even in full development. For this reason, Superfund advisors recommended their entire concession. That is all 22 together. The relevant decisions have not yet been taken by the government, but already in the first presentations made to it at the end of the summer, it became clear that efforts to make concessions in the near future and succeed, according to informed sources.

Tender for infrastructure in Kalamata continues, construction of a new airport in Crete continues and the AA listing of Athens International Airport

In this context, an incentive package for potential investors is being considered, which may include tax, licensing and other incentives to make the necessary investments. However, more than one major foreign group has already expressed interest in obtaining a concession for all 22 infrastructure facilities. Relevant decisions and publication of the request for expression of interest are not expected until the end of the first quarter of next year.

Meanwhile, 20% of the work on the construction of a new airport in Kastelli, Heraklion, Crete, a joint venture between GEK TERNA and Indian GMR has already been completed. The scheme in question is expected to be among the bidders for Kalamata Airport as well as 22 airports. Other groups that are evaluating their participation in the competition for Kalamata, and possibly also for the other 22 regional airports, are Fraport-Greece’s parent company, the German Fraport AG, TEMES of the Konstantakopoulos Group, which manages the Costa Navarino Complex in Messinia and has a direct interest to the development of Kalamata Airport, as well as airlines and other foreign airport management groups.

However, the process of listing the Athens International Airport (IAA) on the stock exchange is expected to advance ahead of that of the regional airports. The government is currently negotiating with Avi Alliance (26.7%) and Avi Alliance Capital (13.3%), both interests of the Canadian insurance fund PSP Investments, which also control management and must agree to the transaction (negotiable Correct). TAIPED will allocate 30% of its portfolio, while the remaining 25% held by the Superfund will remain in the state. Planning envisages completion of the IPO in the first half of 2023.